How much funding did Paisalo Digital raise through NCDs?

Paisalo Digital approved the issuance of Non-Convertible Debentures (NCDs) with a total issue size of up to ₹75 crore.

What secures the Paisalo Digital NCDs?

The NCDs are secured by a charge on the company's loan receivables, ensuring a 1.10x security cover.

What is SBI Life Insurance's stake in Paisalo Digital?

SBI Life Insurance is a significant shareholder in Paisalo Digital, holding a 6.83% stake.

Home / Business and Economy / Paisalo Digital NCDs: ₹75 Crore Funding Boost

Paisalo Digital NCDs: ₹75 Crore Funding Boost

21 Nov

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Summary

Paisalo Digital approved NCD issuance of ₹75 crore.
NCDs secured by charge on loan receivables.
SBI Life Insurance holds a significant 6.83% stake.

Paisalo Digital NCDs: ₹75 Crore Funding Boost

Paisalo Digital's Operations and Finance Committee has approved the issuance of new non-convertible debentures (NCDs) totaling ₹75 crore. This funding round includes a base issue of ₹25 crore and a green-shoe option of ₹50 crore, allowing for oversubscription. The NCDs will offer an 8.50% annual coupon, payable quarterly, with an additional 2% for delayed payments.

These debentures are secured by a charge on the company's loan receivables, with Paisalo Digital maintaining a 1.10x security cover. The company has clarified that no special rights are attached to these instruments. This issuance follows recent private placements of NCDs valued at ₹55 crore and ₹25 crore with two-year and three-year tenures, respectively.

With a total equity capital of ₹90 crore, Paisalo Digital continues to strengthen its financial standing. SBI Life Insurance is a major shareholder, holding a 6.83% stake, while public shareholders collectively own 30.3%. The company's stock closed marginally higher at ₹34.82 on Friday, November 21.